Please enter valid positive numbers for cost and age.
Current Estimated Value:$0.00
Total Depreciation:$0.00
Annual Depreciation Rate:0.00%
Value Lost Per Year (Avg):$0.00
Remaining Useful Life:0 Years
function calculateFridgeDepreciation() {
// 1. Get input values
var cost = parseFloat(document.getElementById('initialCost').value);
var age = parseFloat(document.getElementById('fridgeAge').value);
var lifespan = parseFloat(document.getElementById('lifeExpectancy').value);
var salvage = parseFloat(document.getElementById('salvageValue').value);
var errorMsg = document.getElementById('errorMessage');
var resultBox = document.getElementById('results');
// 2. Validate inputs
if (isNaN(cost) || isNaN(age) || isNaN(lifespan) || cost < 0 || age < 0 || lifespan <= 0) {
errorMsg.style.display = 'block';
resultBox.style.display = 'none';
return;
}
// Handle NaN for salvage if empty, default to 0
if (isNaN(salvage) || salvage depreciableAmount) {
totalDepreciation = depreciableAmount;
}
var currentValue = cost – totalDepreciation;
// Calculate Remaining Life
var remainingLife = lifespan – age;
if (remainingLife < 0) remainingLife = 0;
// Calculate Rate Percentage (Annual Depreciation / Cost) * 100
// Note: In straight line, the rate relative to cost is constant 1/lifespan
var annualDepreciationRate = (1 / lifespan) * 100;
// 4. Update UI
document.getElementById('currentValueDisplay').innerHTML = '$' + currentValue.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById('totalDepreciationDisplay').innerHTML = '$' + totalDepreciation.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById('annualRateDisplay').innerHTML = annualDepreciationRate.toFixed(2) + '%';
document.getElementById('yearlyLossDisplay').innerHTML = '$' + annualDepreciationAmount.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById('remainingLifeDisplay').innerHTML = remainingLife.toFixed(1) + ' Years';
}
Understanding Fridge Depreciation
Whether you are filing an insurance claim, selling a used appliance, or calculating business deductions, knowing the depreciation rate of a refrigerator is essential. Unlike real estate, home appliances like refrigerators are depreciating assets that lose value the moment they are installed.
What determines a Fridge's Value?
Several factors dictate how fast your refrigerator loses its monetary value:
Age: This is the primary factor. The older the unit, the lower the value.
Lifespan: The average life expectancy of a modern refrigerator is between 10 and 15 years. High-end brands (like Sub-Zero) may last longer, while budget compact models may have shorter lifespans.
Purchase Price: Higher initial costs generally lead to higher resale values, though the percentage of depreciation remains relatively consistent across price points.
Condition: Aesthetic damage (dents, scratches) and functional issues (broken ice makers, noisy compressors) significantly reduce value below the calculated book value.
How to Calculate Fridge Depreciation
The most common method used for insurance and general valuation is the Straight-Line Depreciation method. This assumes the appliance loses an equal amount of value every year of its useful life.
The formula is:
Current Value = Purchase Price – ((Purchase Price / Estimated Lifespan) × Age in Years)
Example Calculation
Let's say you bought a French Door Refrigerator for $2,000 three years ago. Assuming a standard lifespan of 12 years:
Annual Depreciation: $2,000 ÷ 12 ≈ $166.67 per year.
Total Depreciation (3 Years): $166.67 × 3 = $500.00.
Current Value: $2,000 – $500 = $1,500.
Insurance Claims vs. Resale Value
It is important to note the difference between Actual Cash Value (ACV) used by insurers and Market Value used for resale.
Insurance (ACV): Strictly mathematical. Insurers use the standard lifespan (usually 10-15 years) to calculate exactly what the remaining "life" of the fridge is worth.
Resale (Market Value): The secondary market for used appliances is tough. Even if your calculator says a fridge is worth $1,000, buyers on marketplaces like Craigslist or Facebook Marketplace may only be willing to pay $400-$600 because of the hassle of transportation and lack of warranty. For resale purposes, expect to get 30-50% less than the depreciated book value.